Amazon Plans New Layoffs Targeting HR and Other Teams
Amazon is reportedly planning another significant round of layoffs, with its human resources division expected to be heavily impacted. According to a Fortune report, the tech giant may cut up to 15% of its HR staff alongside additional reductions in other business units.
Key Takeaways
- Amazon may cut up to 15% of HR staff (PXT division)
- Additional layoffs expected in core consumer business
- Company investing over $100 billion in cloud and AI infrastructure
- CEO Andy Jassy previously hinted AI adoption would reduce workforce
HR Division Faces Major Cuts
Amazon’s People eXperience Technology (PXT) team, led by Senior Vice President Beth Galetti, employs over 10,000 people globally. This division includes recruiting teams, technology staff, and standard HR functions. Sources familiar with the matter indicate this division “will be hard hit” by the upcoming cuts.
AI Investments Drive Cost-Cutting
The layoffs are part of Amazon’s strategy to reduce employee costs while making massive investments in artificial intelligence infrastructure. The company plans to spend over $100 billion this year expanding its cloud and AI data centers for both internal operations and business customers.
CEO’s AI Vision and Workforce Impact
Earlier this year, CEO Andy Jassy emphasized the importance of AI adoption in a company-wide email. “Those who embrace this change, become conversant in AI, help us build and improve our AI capabilities internally and deliver for customers, will be well-positioned to have high impact and help us reinvent the company,” he wrote.
Jassy directly addressed the workforce implications, stating: “We expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company.”
Amazon has not officially confirmed the specific HR division layoffs, maintaining its focus on AI-driven transformation and cost optimization.
